The S&P 500 index reached a 14-month high, indicating a strong stock market rally. The Dow Jones and Nasdaq composite are also approaching 2023 highs, with Apple crossing the $3 trillion market cap for the first time. However, the Nasdaq’s current extension raises concerns about a potential market pullback in the near future.
Focus on Tesla Deliveries and China EV Market
Tesla and other Chinese electric vehicle (EV) companies, such as Li Auto, Nio, XPeng, and BYD, will be in the spotlight as they report June and second-quarter sales. Li Auto reported record deliveries in June, while Nio is working to regain momentum with its revamped ES6 SUV. Tesla’s second-quarter deliveries are expected to surpass previous quarters.
Buy Signals for Nvidia, HubSpot, Marriott, GE, and JPMorgan Chase
Several stocks, including Nvidia, HubSpot, Marriott International, General Electric, and JPMorgan Chase, are displaying buy signals. Nvidia and HubSpot are listed on IBD Leaderboard, with HubSpot also on the IBD 50. These stocks show potential for growth and should be closely monitored.
Overview of Stock Market Performance
In the first half of 2023, the S&P 500 gained 15.9%, its best six-month start since 2019. The Nasdaq surged 31.7%, the highest since 1983. The Dow Jones increased modestly by 3.8%, and the Russell 2000 rose by 7.4%. AAPL stock experienced significant growth, reaching a market cap of $3.05 trillion.
Important Factors Affecting the Market
The 10-year Treasury yield reached a three-month high of 3.82%, while U.S. crude oil futures rose by 2.1% to $70.64 per barrel. Copper futures ended a six-day losing streak, and various exchange-traded funds (ETFs) showed positive performance, including Innovator IBD 50 ETF, Innovator IBD Breakout Opportunities ETF, iShares Expanded Tech-Software Sector ETF, and VanEck Vectors Semiconductor ETF.
Stocks to Watch and Recent Developments
Nvidia stock rebounded after reports of expanded chip export curbs, while HubSpot broke out of a four-weeks-tight pattern. Marriott stock surged, GE stock experienced a significant upside, and JPMorgan stock reached a 16-month high following the successful passing of Fed stress tests. Aerospace and EV companies, including Li Auto, Nio, XPeng, and BYD, demonstrated notable growth in sales.
Tesla Deliveries and Market Analysis
Tesla’s second-quarter deliveries are expected to exceed previous quarters, although the company implemented price cuts and incentives that may impact gross margins. The stock remains strong, with substantial growth in 2023. The stock market rally displayed bullish signs, but the extended Nasdaq and S&P 500 raise concerns of a potential pullback. Investors should evaluate their portfolios, identify buying opportunities, and remain cautious of market fluctuations.